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Amazon Leads U.S. Grocery Retailers in Personalization Followed by H-E-B and Kroger, dunnhumby Finds

dunnhumby, the global leader in customer data science, today released a special edition of the dunnhumby Retailer Preference Index (RPI), designed to determine which retailers in the $1 trillion U.S. grocery market personalize the shopping experience best for their customers. In this inaugural RPI for Leadership in Personalization, dunnhumby found that Amazon stands apart from all other retailers followed by H-E-B in second and Kroger rounding out the top three. These three retailers are at the top of the rankings because they deliver targeted savings, a localized assortment, and a frictionless shopping experience best.

The seven retailers with the next highest overall customer preference index scores are: 4) Giant Eagle, 5) King Soopers, 6) Meijer, 7) The Giant Company, 8) Target, 9) Fry's, 10) Smith's. Seventy percent of those in the top-quartile of the Personalization RPI (PRPI) ranking also are in the top quartile for Targeted Savings, the most important personalization driver.

"With the long-term trend of shoppers across all income brackets demanding lower prices, personalization is an opportunity for grocers to better retain and acquire customers," said Matt O'Grady, President of dunnhumby for the Americas. "The goal of this report is to help retailers improve personalization as a whole ? the way customers define it. And because customers define personalization as targeted savings, local assortment and a frictionless shopping experience, understanding their preferences is key. The Personalization RPI provides a framework not only for grocery retailers looking to lead the market in personalization, but also for those who are in the earlier phases of their personalization journey who are trying to understand where to focus their resources."

The dunnhumby RPI is the only approach to ranking grocers that combines financial results with customer perception. The PRPI includes 65 of the largest grocery retailers in the industry that sell everyday food and non-food household. For the Personalization RPI, the financial data and the customer perception data is sourced from dunnhumby's survey of 10,000 American grocery shoppers. dunnhumby analysts cross validate the model with financial data from Edge by Ascential, foot traffic data from Placer.ai, and web traffic data from Similarweb to ensure that grocery retailers who rank higher in our approach are driving a higher share of visits and bigger basket sizes. Our personalization RPI model also identifies which dimensions of the personalization proposition matter the most for driving financial and emotional performance by grouping 30+ personalization Levers into three main personalization preference drivers: Targeted Savings, Frictionless Experience, and Localized Assortment.

Key findings from the study:

The full RPI report can be accessed today.

Retailers included in the RPI that are interested in receiving their individual banner profiles can speak with their dunnhumby account executive or contact dunnhumby at: https://www.go.dunnhumby.com/personalization-deep-dives.

About dunnhumby

dunnhumby is the global leader in Customer Data Science, empowering businesses everywhere to compete and thrive in the modern data-driven economy. We always put the Customer First.

Our mission: to enable businesses to grow and reimagine themselves by becoming advocates and champions for their Customers. With deep heritage and expertise in retail ? one of the world's most competitive markets, with a deluge of multi-dimensional data ? dunnhumby today enables businesses all over the world, across industries, to be Customer First.

The dunnhumby Customer Data Science Platform is our unique mix of technology, software and consulting, enabling businesses to increase revenue and profits by delivering exceptional experiences for their Customers ? in-store, offline and online. dunnhumby employs over 2,500 experts in offices throughout Europe, Asia, Africa, and the Americas working for transformative, iconic brands such as Tesco, Coca-Cola, Meijer, Procter & Gamble and Raley's.

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